Power Tool Sales and Marketing Strategies for B2B Retailers
Power tools are vital for both consumers and professionals. The demand for power tools is at or near pre-pandemic levels, despite a slowdown due to the COVID-19 epidemic that will hit in 2021.
In terms of outlet dollar share, Home Depot leads all outlets in sales of power tools. Lowe's isn't far behind. Both are competing with power tools made in China.
Tip 1: Commit to a brand
Many industrial products manufacturers prioritize sales over marketing. This is because a long-term purchase requires a lot of back and forth communication and detailed product knowledge. This type of communication is not ideal for marketing that is based on emotion.
However, companies that make industrial tools need to rethink their marketing strategy. The digital age has raced past traditional companies that rely on a few retailers and distributors to sell their products.
Brand loyalty is a major element in the sale of power tools. When a customer is loyal to a particular brand and is loyal to a brand, they are less sensitive to communications from competitors. They are also more likely to buy the products of the brand they are loyal to and to recommend them to others.
To have a positive impact on the United States market, you must have an organized strategy. This means adjusting your tools to meet the local requirements and positioning your brand in a strategic way, and making use of distribution channels and marketing platforms. It is also essential to cooperate with local authorities as well as industry associations and experts. You can be sure that your power tool is in line with the requirements and standards of the country when you follow these guidelines.
Tip 2: Know Your Products
Retailers must be aware of the products they offer particularly in a market that places such a high value on the quality of the product. This will enable them to make informed choices about the products they sell. This knowledge can make the difference between making a good or bad sale.
Knowing which tool is suitable for a project will aid in matching the right tool to your customer's needs. You will build trust and loyalty with your customers. This will ensure that you're providing a complete service.
Understanding DIY culture trends can also aid in understanding the needs of your customers. For instance the increasing number of homeowners are taking on home improvement projects that require the use of power tool. This can lead to a spike in the sale of these tools.
According to Durable IQ, DeWalt leads in power tool share of 16%, although Ryobi and Craftsman brands have seen their share decline year-over-year. Despite this, both online and in-store purchases are on the rise.
Tip 3: Offer Full-Service Repair
The most frequent reason a consumer makes a power purchase is to either replace one that is been damaged or broken, or to embark on the task of a new one. Both of these tools offer the possibility of upselling or adding on sales.
According to the Home Improvement Research Institute (HIRI) 2020 Tracking Study of Power Tools and Accessories 35 percent of all purchases for power tools are the result of planned replacements. These customers often require additional accessories or may need to upgrade to higher performing models.
Whether your customer has experience in DIY or is new to the hobby they will need to replace their carbon brushes, drive cords, and the power cords on their power tools over time. These basic items will ensure that your customer gets the most out of their investment.
When buying power tools, technicians look at three aspects: the tool's application the power source, and safety. These aspects help technicians make informed choices when selecting the right tools for maintenance and repair work. This will help them improve the efficiency of their tools as well as reduce the cost of ownership.
Tip 4: Keep up to date with technology
The most recent battery tools, for instance are equipped with smart technology that enhances the user experience and sets them aside from competitors who still rely upon old battery technology. B2B wholesalers who stock and sell these devices can increase sales by focusing on tech savvy contractors and professionals.
For Karch, whose business has more than three years of experience and a 2,000-square-foot department for tools, staying up with new technologies is essential. He says that manufacturers are constantly changing their product designs. "They were able to hold their designs for five or ten years, but now they alter them every year."
In addition to embracing latest technologies, B2B wholesalers should also focus on improving existing models. For instance, by adding adjustable handles and lightweight materials, they can reduce the fatigue caused by prolonged use. These features are essential to many contractors working in the field who utilize the tools for a lengthy period of time. The market for power tools is divided into consumer and professional groups. This means that major players are always working to improve their designs and develop new features to appeal to a wider market.
Tip 5: Make a Point of Sale
The landscape of e-commerce has transformed the market for power tools. Data collection techniques have been improved, allowing business professionals to get a better understanding of the market. This allows them to create more effective inventory and marketing strategies.
Point of sale (POS) data, for instance, allows you to monitor the kinds of projects DIYers undertake when purchasing power tools and www.Powertoolsonline.uk accessories. Knowing what projects your customers are working on enables you to offer upsells and add-ons. It also helps you anticipate the needs of your customers making sure you have the appropriate products available.
Moreover, transaction data enables you to spot trends in the market and adjust production cycles in line with. You could, for instance, use this data to track fluctuations in your brand's and retail partners market shares. This allows you to align your product strategies with consumer preferences. Similarly, you can use POS data to optimize inventory levels and reduce the risk of overstocking. It can also be used to determine the effectiveness of promotional campaigns.
Tip 6 Tip 6: Be a good neighbor
Power tools is a high-profit complex market that requires significant marketing and sales efforts to remain competitive. The classic ways to gain an advantage in this field were by positioning or pricing products. However, these strategies are no longer effective in today's multichannel marketplace where information is shared so quickly.
Retailers that focus on customer service are more likely to keep customers and build brand loyalty. Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls, Wisconsin, operates a 12,000-square-foot power tool department. At first, the department offered various brands, but as he began to listen to customers who were contractors, he discovered that the majority were loyal to a particular brand.
To win their customers' business, Karch and his team first ask their customers what they want to do using the tool, before showing them what they have available. This gives them the confidence to recommend the best tool for the job, and also increases trust with their customers. Customers who are familiar with their product are less likely to blame the store for the failure of a tool on the job.
Tip 7: Create a point of customer service
Power tool retailers are in an extremely competitive market. Those who are successful in this market tend to be more loyal to a single brand than to carry a variety of brands. The amount of space a retailer is able to devote to a specific category could affect the number of brands they carry.
Customers usually require assistance when they go in to purchase a power device. If they're replacing an old model that's broken or taking on an upgrade project, customers need expert advice from sales associates.
Mike Karch, the president of Nue's Hardware and Tools, located in Menomonee Falls, Wisconsin, said that his store's staff is trained to ask questions that could lead to a sale. They begin by asking the customer what they intend to do with the product. "That's the way to decide what kind of tool they need," he says. Next, they ask about the project and what kind of experience the client has with various types of projects.
Tip 8: Create a Point of Warranty
The warranties of the power tool makers differ greatly. Some companies offer a complete warranty, while others are more limited or do not cover certain tools. Before making a purchase it is crucial that the retailer understands the distinctions. Customers will only purchase tools from companies who back them up.
Mike Karch is the president of Nue's Hardware and Tools, located in Menomonee, Wisconsin. He has a 12,000 square foot power tool department as well as a repair shop on site that repairs 50 different brands of tools. He has discovered over the years that many of his contractors are brand loyal, so he prefers to focus on the most popular brands rather than attempting to offer a variety of products.
He also likes the fact that his employees can meet with vendors one-on-one to discuss new products and give feedback. This personal contact is crucial because it builds trust between the store's clients and employees. Having good relationships with suppliers can even lead to discounts on future purchases.